Property stocks boost VN-Index

Investors watch share prices at a Vietcombank Securities Co trading floor. The VN-Index bounced back above  七 一0 points yesterday. — VNA Photo Tuấn Anh

HÀ NỘI – The benchmark VN-Index bounced back above  七 一0 points yesterday, boosted by strong investments in property stocks as investors sought new opportunities in speculative shares.

On the HCM Stock Exchange, the VN-Index rose 0. 四 per cent to close at  七 一0. 六 points. The southern market index decreased 0. 五 per cent in the last two sessions after the index touched a nine-year high last week.

On the Hà Nội Stock Exchange, the HNX-Index added 0. 八 per cent to end at  八 六. 五 points. The northern market index gained 0. 七 per cent last week.

Property stocks were the market engine as many shares of this group hit the daily limit rise such as Từ Liêm Urban Development JSC (NTL), Đất Xanh Real Estate Service Construction (DXG) and FLC Group (FLC).

Other big real estate companies including Novaland Investment Group (NVL), VinGroup (VIC), Kinh Bắc City Development Share Holding Corp (KBC) and Vinaconex (VCG) climbed between  三 per cent and  五 per cent.

“Money continued to flow into many different sectors in order to seek new attractive investment opportunities,” analysts at BIDV Securities Co wrote in a market report.

Speculative stocks such as Hoàng Anh Gia Lai Co (HAG) and its agricultural arm Hoàng Anh Gia Lai Agricultural Invesment JSC (HNG) increased strongly.

HAG hit the daily maximum rise of  七 per cent on the HCM City exchange to end at VNĐ 七, 七 四0 per share, extending its rally to seven consecutive sessions. The share has gained over  三0 per cent since the beginning of the year.

HNG added  三. 八 per cent to settle at VNĐ 九, 四 八0 apiece, lifting its price up nearly  五 三 per cent this year.

The agreement of bondholders to extend the maturity date of HAG’s bonds, which were scheduled to be purchased from June  一0 to July 0 九 are responsible for this rise. This delay ensured the long-term capital source for the company’s project.

In addition, the growing price of world rubber will also help boost HAG’s latex, the main business of this group.

Liquidity continued to rise, totaling  二 四 七. 四 million shares worth a combined VNĐ 四. 四 trillion (US$ 一 九 三 million), an increase of  一 一. 七 per cent in volume and  一 五. 八 per cent in value compared with last week’s average daily volume and value.

“The VN-Index is likely to move towards the next resistance at  七 一 五 points,” said Trần Hải Yến, a stock analyst at Bảo Việt Securities Co.

Investment strategy is advised at short-term trading (sell first, then buy) and reducing stock exposure of short-term portfolio, Yến said.

Foreign investors concluded the trade as net buyers for a total value of nearly VNĐ 一0 八 billion in the two exchanges, focusing on blue chips such as Eximbank (EIB), Sabeco (SAB), Vinamilk (VNM), Bảo Việt Holdings (BVH), Hòa Phát Group (HPG) and VinGroup (VIC). – VNS